Eversource Energy has agreed to acquire all outstanding equity interests of Macquarie Utilities Inc. in a deal valued at about $1.68 billion, according to a June 2 release.
Macquarie Utilities owns Aquarion Water Co. of Connecticut, Aquarion Water Co. of Massachusetts and Aquarion Water Co. of New Hampshire. Eversource Energy will pay about $880 million in cash and assume $795 million in debt. The parties expect to close by Dec. 31.
The company intends to fund the transaction with a combination of cash and a small amount of debt.
The transaction is subject to certain customary closing conditions, including approvals from the Connecticut Public Utilities Regulatory Authority, the Massachusetts Department of Public Utilities and the New Hampshire Public Utilities Commission and the expiration or termination of the applicable Hart-Scott-Rodino Act waiting period.
The acquisition will allow Eversource Energy to serve nearly four million customers in Connecticut, Massachusetts and New Hampshire. "This transaction combines two companies that are leaders in providing the critical infrastructure New England residents and businesses need to grow and thrive," said Jim Judge, chairman, president and CEO of Eversource.
Macquarie Utilities is an affiliate of Macquarie Infrastructure Partners.
Evercore is acting as exclusive financial adviser and Ropes & Gray LLP is acting as legal counsel to Eversource Energy.